Raw video files are huge. For example, an Ultra High Definition (UHD) movie with 120 frames per second (fps), 3840×2160 pixels per frame, 3 colors per pixel, and 16 bits per color, requires bandwidth of:                3840*2160*120*3*16=47,775,744,000 Bits per sec≈50 Giga bits per sec, equivalent to about 500 high speed (100 Mbps) fiber channels.        
If the movie last for two hours, as usual, it requires storage of:                47,775,744,000*7,200≈343,985 Giga bits≈45 Tera bytes, equivalent to about 9,000 regular (5 Gbytes) DVD disks.        
Video compression,                “The art of reducing the video size without affecting its visual quality”, is therefore a necessary tool for any applications that deals with video.        
In general, a video consists of several components, such as in the RGB color space or in the YUV color space. However, without loss of generality we consider here only one such component.
PCT application no. PCT/IB2013/059007 to the same applicant provides a video frame compression method given the entire video (or cut), namely frames preceding and following the currently compressed frame.
PCT application no. PCT/IB2014/062524 to the same applicant provides a video frame compression method given at least part of the preceding frames.
U.S. application Ser. No. 12/448,733 to the same applicant provides Entropy Coding/Decoding methods for image and video compression.